Interesting...a whole bunch of those errors came from the Dreamweaver template for that layout; lots of others noted missing start tags or end tags that are in fact there...don't quite know what to do about that! Some were legitimate, so I'll fix those, and see where it goes.
If you want a menu that works in IE8, look at jQuery Superfish examples.
On Line #1 of your Template code, you have this which doesn't belong. Remove it.
The DW built in scripting will do that, those specific to the DW generated scripts are not an issue.
The missing end tags are a big issue though. None of your links in your menu have an end tag </a>, you are also missing a few </li>, that causes the rest of your page to basically become a link since the browser doesn't understand what you're trying to do. That is not part of any pre-made template I've ever seen in DW.
There is a meta tag outside the <head> area of your code, that needds to be moved between your head tags. You also forgot to self close the keywords and description meta by using /> instead of > (not a major issue, but due to doctype, should be fixed)
Because you're missing an ending </p> tag at about line 287 you'll get errors involving a lot of the remaining tags saying something to the effect of "canot go here, missing object..."
Ok, I've found those and will fix.
Back to the drawing board---thanks, all!